Ararat Wind Farm achieves financial close

News that wind farm developer Renewable Energy Systems (RES) has achieved financial close for Ararat Wind Farm in Victoria was welcomed today by Minister for the Environment Simon Corbell.

The project is one of three winners in the ACT’s 200MW wind auction, with a fixed price of $87per MWh, and will contribute to the ACT’s target of 90% renewable energy by 2020.

“This is good news for the territory, as it means we are well on track to reach our legislated renewable energy generation target of 90% by 2020. Financial close means the project’s financiers have released the funds required for construction to commence a project that, when finished, will be the third largest wind farm in Australia,” Mr Corbell said.

“From the security provided by locking in 80MW on a 20-year Feed-in Tariff with the ACT, RES has been able to fully realise the financing for their planned 242MW wind farm project. The extra energy generation will allow RES to build on the ACT’s investment by feeding more renewable energy directly into the National Electricity Market.”

“Ararat’s Feed-in Tariff entitlement represents approximately 40% of the total project output and will supply enough renewable energy to power around 37,000 Canberra homes – reducing the Territory’s emissions by approximately 206,000 tonnes per annum in 2020.”

As part of the agreement RES have contracted local company, Windlab, to manage and operate the project through their new global operations centre in Canberra.

“RES have also committed to a “renewables in schools” program and collaboration with the ANU Energy Change Institute as part of the ACT government’s Renewable Energy Industry Development Strategy,” Mr Corbell said.

The Ararat Wind Farm is the second wind project awarded a feed in tariff by the Territory to reach financial close following the 19.4MW Coonooer Bridge Wind Farm, also in Victoria, that achieved financial close in April 2015.